Hargreaves Lansdown attracted £1.6bn in net new business during the three months to 31 March, up 14% on the same period in 2022, as clients focused on utilising their Isa and Sipp tax allowances.
Revenue shot up 28% compared to Q3 FY22, reaching £188.1m. Assets under administration (AUA) also edged up 4% to £132bn in the quarter due to £3.3bn positive market movements combined with the net new business.
While share dealing volumes averaged 770,000 per month in the quarter, a 23% rise against the previous three months, this was 20% lower than Q3 last year.
The platform said the decline was due to a particularly elevated quarter last year for dealing volumes before investor confidence was damaged by the war in Ukraine and the cost-of-living crisis.
Meanwhile, the firm reached 1.8m clients in the quarter with 23,000 users flocking to the platform over the three months
Chief executive officer Chris Hill said: “We delivered net new business of £1.6 billion in the period, up 14% on last year as the combination of changes to the tax landscape, our marketing activity, and ongoing developments in our core propositions generated a call to action for clients in the run up to tax year end.
“Macroeconomic uncertainty continues but the improved activity demonstrates that as confidence returns, HL is well positioned to grow and support new and existing clients on their investment and savings journeys.
He added: “During the quarter, we launched a new cash ISA, three new Portfolio Funds and our enhanced Share Exchange service helping clients enable efficient use of their tax allowances. The targeted price reduction we have made to our LISA product and making our Junior ISA fee free demonstrates how we are thinking about specific improvements to help families manage wealth and to help those starting out on their investing journeys.”
See also: Hargreaves Lansdown axes raft of fees as competition heats-up
